Domestic palm oil price re-falls

The price of domestic palm oil is rolling back again, according to the market data. After Indonesia’s ban on palm oil export is lifted, the price slid again in the global oil-producing countries. The reference rate in the Yangon market for a week from 23 to 29 May is set at K5,500 per viss (a viss equals 1.6 kilogrammes), according to the Supervisory Committee on edible oil import and distribution under the Ministry of Commerce. The rate fell from the reference rate of K6,025 per viss for a week ended 15 May.

The figures show an increase of over K500 per viss within a week. The committee has been closely observing the FOB prices in Malaysia and Indonesia including transport costs, tariffs and banking services and issuing the wholesale market reference rate for edible oil on a weekly basis. The Ministry of Commerce is striving for the consumers not to worry over the supply of edible oil. The ministry is also trying to secure edible oil sufficiency, supervise the market to offer a reasonable price to the consumers, maintain the price stability and prevent market manipulation.

If those retailers and wholesalers are found overcharging, storing inventory intentionally and attempting unscrupulous action to manipulate the market, they will face legal action under the Special Goods Tax Law, MoC released a statement. On 9 May, to ensure the edible oil security, peanut and sesame exports were temporarily blocked, according to the Trade Department under the Ministry of Commerce. The domestic consumption of edible oil is estimated at one million tonnes per year. The local cooking oil production is just about 400,000 tonnes. To meet the oil sufficiency in the domestic market, about 700,000 tonnes of cooking oil are yearly imported through Malaysia and Indonesia. 

Source: The Global New Light of Myanmar